BlackBerry loses US$1bn, axes 4500 staff

Last updated 07:49 21/09/2013

Relevant offers


Red Bull heirs: The Thailand family with 11 billionaires Corkman Irish Pub: Developer's illegal demolition of historic pub doubles value of land Australian woman wins A$1 million payout over workplace bullying Galaxy Note 7 recall: More than 500 sue Samsung for $616 Denial of cyber attack affecting Twitter, Reddit, Paypal and Spotify British American Tobacco offers to buy Reynolds in US$47 billion deal Earthquake builder Phil Cooper facing charges in Philippines The video that exposed Samsung's problems in China Samarco employees charged with murder over burst dam at Brazil mine Donald Trump's many contradictions about Russia

BlackBerry says it will lay off 4500 employees, or 40 per cent of its global workforce, as it reports a nearly US$1 billion (NZ$1.2b) second-quarter loss in a surprise early release of earnings results.

The stock dropped 19 per cent to US$8.50 after reopening for trading. Shares had been halted pending the news.

BlackBerry had been scheduled to release earnings next week. But the Canadian company said late Friday afternoon it expects a loss of about US$950 million to US$995 million for the quarter, including a massive inventory charge due to increasing market competition.

The BlackBerry, pioneered in 1999, was the dominant smartphone for on-the-go business people and other customers before Apple debuted the iPhone in 2007. Since then, BlackBerry Ltd. has been hammered by competition from the iPhone as well as Android-based rivals like Samsung.

Ad Feedback

- AP

Special offers

Featured Promotions

Sponsored Content